EU retaliatory tariffs Harley-Davidson and Indian want to relocate production

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EU retaliatory tariffs Harley-Davidson and Indian want to relocate production
Harley-Davidson

EU retaliatory tariffs Harley-Davidson and Indian want to relocate production

EU retaliatory tariffs Harley-Davidson and Indian want to relocate production

EU retaliatory tariffs Harley-Davidson and Indian want to relocate production

EU retaliatory tariffs Harley-Davidson and Indian want to relocate production

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EU retaliatory tariffs Harley-Davidson and Indian want to relocate production
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Harley Davidson Softail Fat Boy (FLFB).

EU retaliatory tariffs Harley-Davidson and Indian want to relocate production
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Harley Davidson Softail Fat Boy (FLFB).

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Harley Davidson Softail Fat Boy 114 (FLFBS).

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Harley Davidson Softail Street Bob (FXBB).

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Harley Davidson Softail Street Bob (FXBB).

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Harley Davidson Softail Fat Bob (FXFB).

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Harley Davidson Softail Fat Bob (FXFB).

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Harley Davidson Softail Fat Bob 114 (FXFBS).

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Harley Davidson Softail Fat Bob 114 (FXFBS).

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Harley Davidson Softail Low Rider (FXLR).

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Harley Davidson Softail Low Rider (FXLR).

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Harley Davidson Softail Breakout (FXBR).

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Harley Davidson Softail Breakout (FXBR).

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Harley Davidson Softail Breakout 114 (FXBRS).

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Harley Davidson Softail Breakout 114 (FXBRS).

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Harley Davidson Softail Slim (FLSL).

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Harley Davidson Softail Slim (FLSL).

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Harley Davidson Softail Deluxe (FLDE).

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Harley Davidson Softail Deluxe (FLDE).

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Harley Davidson Softail Heritage Classic (FLHC).

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Harley Davidson Softail Heritage Classic (FLHC).

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Harley Davidson Softail Heritage Classic (FLHCS).

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Harley Davidson Softail Heritage Classic (FLHCS).

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Harley Davidson Street Glide Special (FLHXS).

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Harley Davidson Street Glide Special (FLHXS).

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Harley Davidson CVO Street Glide (FLHXSE).

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Harley Davidson CVO Street Glide (FLHXSE).

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Harley Davidson CVO Limited (FLHTKSE).

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Harley Davidson CVO Limited (FLHTKSE).

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Harley Davidson CVO Road Glide (FLTRXSE).

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Harley Davidson CVO Road Glide (FLTRXSE).

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Harley Davidson Breakout – 115th Anniversary.

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Harley Davidson CVO Limited – 115th Anniversary.

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Harley Davidson Fat Boy – 115th Anniversary.

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Harley Davidson Forty-Eight – 115th Anniversary.

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Harley Davidson Softail Heritage Classic – 115th Anniversary.

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Harley Davidson Street Glide – 115th Anniversary.

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Harley Davidson Street Glide Special – 115th Anniversary.

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Harley Davidson Tri Glide Ultra – 115th Anniversary.

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Harley Davidson Ultra Limited – 115th Anniversary.

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EU retaliatory tariffs Harley-Davidson and Indian want to relocate production

EU retaliatory tariffs on US bikes
Harley-Davidson and Indian plan to relocate production

Because the EU reacted to the US punitive tariffs on steel and aluminum with retaliatory tariffs on US products, Harley-Davidson wants to relocate part of its production from the USA to other countries. Indian is also considering relocating production.

Uli Baumann

04/07/2018

As Spiegel reports, the retaliatory tariffs imposed by the EU on June 22, 2018 make machines more expensive Harley-Davidson clear for European customers. The increase in EU tariffs from six to 31 percent will make Harley motorcycles more expensive in Europe by an average of $ 2,200. In order to dampen this price increase, the US manufacturer plans to relocate parts of its production from the USA to other countries within 18 months. Until the relocation of production is completed, Harley-Davidson wants to bear these costs itself, writes the mirror on. That means a burden of probably 30 to 45 million dollars for the rest of this year alone. Harley-Davidson has factories outside the US in Brazil, India and Thailand. And since July 4th also an offer from Berlin. As Spiegel reports, the managing director of the state-owned business development agency in Berlin has proposed to the US company to relocate production to Berlin. Motorcycles are already being manufactured in Berlin (A.d.R .: BMW Motorrad manufactures in Berlin) and subsidies could also be promised.

US President Donald Trump responded with criticism of the Harley-Davidson announcement. He fought with all his might to strengthen US companies and now Harley is practically waving that “white flag”. As the Spiegel reports, Trump threatened to bring other manufacturers into the country in another tweet in response to Harley-Davidson’s announced relocation of parts of its production abroad. “My government works with other motorcycle companies that want to relocate to the United States”, wrote the US President on Twitter.

EU retaliatory tariffs Harley-Davidson and Indian want to relocate production

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EU retaliatory tariffs Harley-Davidson and Indian want to relocate production

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Damage to European business feared

With almost 40,000 Harley motorcycles sold last year, Europe was the second most important market for Harley-Davidson after the USA. If you were to pass the price increase on to the customer through the punitive tariffs, Harley-Davidson fears you “immediate and long-lasting” Damage to European business.

Indian is also considering relocating

After Harley-Davidson, the second major US manufacturer, Indian, is now also considering relocating production in order to escape the penalty taxes. Indian, which belongs to the large Polaris group, is considering using Polaris plants in Poland to manufacture motorcycles for European business. So far, these models have been built in Iowa. Polaris also has production sites in Mexico, and a plant in India is already planned.

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